Bazala_CZECH & POLAND PROFILE:Layout 1 19/5/08 11:42 Page 3
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CZECH & POLAND PROFILE: CD CARGO
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CD Cargo, a. s. (Czech Railways Cargo, Joint Stock Company) the European rail market, CD Cargo
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Subsidiary company for freight service intends to provide more of its services
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100% shares owned by Czech Railways outwith the Czech Republic, either directly
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Created on 1 December 2007 by separation from Czech Railways or in cooperation with other carriers or in
the form of multinational alliances. It is in
Figures:
this sense that discussions are currently
Company staff: 12,500 employees
ongoing between the Czech and Slovak
Number of wagons: 26,000 wagons
governments on the possibility of
Number of locomotives: 950 locomotives
merging the Czech and Slovak versions of
Freight transport volume: 92 million tonnes (per year)
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Cargo. Apart from this, CD Cargo is
Transportation performance: 17 billion tonne-kilometres
involved in a wide range of European
Average hauling distance: 190km
Union projects. From a European
Income from freight transport: 18 thousand million CZK (€720 million)
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perspective, CD Cargo is the fifth largest
parameters of relations within the entire
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‘‘CD Cargo now owns 950
rail carrier in the European Union
Czech Railways Group so that practical according to performance indicators.
synergetic effects are maintained.
locomotives and
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The new organisation, CD Cargo, was approximately 26 In your opinion, what does the
created with a new, modern logo, but
thousand freight cars,
situation of the Czech transportation
obviously draws on its rich traditions and
whilst some 12,500
market currently look like and what
experience. It is our intention to build a are the results of the battle with
modern, dynamic company that is flexible
employees have moved
road transport?
to its customers, open to cooperation,
from the parent company
If we are talking about our competition,
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active in international projects and
to CD Cargo’’
then we are talking mainly about road
obviously successful and profitable. transportation. The rail sector has a share
Independence from Czech Railways has of approximately 22% on the Czech
meant an important change – the company and re-invest the profit achieved market, whereas the road sector covers 3/4
elimination of so-called cross financing. in further development. of freight carriage. On the one hand, this
Every year prior to this, freight transport is still a very good result in comparison
had to subsidise loss-making passenger With the development of the with development in other European
transport, meaning that it was lacking the liberalisation of the railway market in countries, where the percentage of rail
funds for its own development. The result the Czech Republic, how strong is the carriage is under 10%. However, the
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is a neglected technological base and competition to CD Cargo? majority of transport experts are
rolling-stock and this is what we are The Czech Republic has fully adopted convinced that the percentage held by
changing now. In consequence of this the “acquis communautaire” valid the rail sector on our transportation
change, we are increasing the resources among the original EU countries in the market will fall further and will come
available for investment in freight area of rail transport. The conditions for closer to the European averages. We
transport, mainly in expanding the the liberalisation of this industry were would like to prevent this and are
capacities of the freight rolling-stock. We actually created back in 1995. There are convinced that we even have the chance of
plan purchases, reconstruction and now several dozen organisations that slightly increasing our percentage.
modernisation steps for our vehicles in operate rail freight transport in the We currently transport approximately
2008 and 2009 to a total value of 3 Czech Republic. However, these were 90 million tonnes of goods, whereas
thousand million crowns (€120 million). established on the market more than ten road haulage carries around 430 million
We expect to achieve challenging years ago and gradually took 10% of the tonnes. However, the capacity of the
targets in the very first year of the volume of carried goods from Czech railway network is currently limited.
company’s existence and are counting on a Railways. The situation has now been Under the current infrastructure
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growth of carriage and revenues of consolidated in this regard. CD Cargo conditions we can only hope to grow to
approximately 4%. If everything is as certainly does not have a dominant approximately 120 million tonnes.
successful as we set out in our ambitious position today. It is also clear that the After the completion of the main rail
business plan, we can achieve a profit of transportation market is ruled by road corridors and infrastructure in the Czech
approximately 1.1 thousand million transport and that the rail sector finds Republic, which will take another five to
crowns (€44 million). However, I would itself in a far weaker position. In general, six years, the volume of commodities
like to stress that our main target is to we can say that the transportation carried by rail could reach up to 140 or
reinforce the position of rail carriage on market is a market environment with 150 million tonnes, meaning that the rail
the domestic and foreign transportation strong competition. sector’s share of the transportation market
markets. We want to prosper as a With the advancing liberalisation of could reach up to 30%.
64 EUROPEAN RAILWAY REVIEW
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ISSUE 3
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2008
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